Industry Update: HMRC issues new guidance: Countdown to Vaping Products Duty

HMRC has updated its guidance to businesses who will be affected by the new Vaping Products Duty which is due to come into force on October 1, 2026.

It is aimed at all businesses involved in the manufacturing or importing of vaping products, or storing of duty-suspended vaping products and warns that they must apply for approval to continue operating.

Businesses are being advised that the approval process opens on April 1, 2026 and advises that it is time to prepare now to avoid disruption.

HMRC says: “The UK Government is introducing Vaping Products Duty (VPD) and vaping duty stamps (VDS) from 1 October 2026. VPD, a new excise duty, will apply to all vaping liquids (or e-liquids) sold or supplied in the UK, at a flat rate of £2.20 per 10ml and VDS must be attached to individual vaping products.

” From 1 April 2026, any business involved in the manufacture or importation of vaping products, or storage of duty-suspended vaping products, must apply for approval from HM Revenue and Customs (HMRC) to continue operating lawfully in the UK once VPD and the VDS Scheme come into effect. With just six months until approval registration opens, HMRC is urging all affected businesses to prepare now to avoid disruption as approval may take up to 45 working days.”

The guidance says:

• UK manufacturers of vaping products must apply for approval for both VPD and the VDS Scheme.
• Warehousekeepers will be able to apply for VDS Scheme approval directly.
• Overseas manufacturers must appoint a UK representative to apply for the VDS Scheme on their behalf.
• Importers will be required to pay the new duty. They must also register for VPD and the VDS Scheme if they are acting as a UK representative for an overseas manufacturer.

Full information can be found here: Countdown to Vaping Products Duty and Stamps Scheme – what businesses need to know

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